RBL bank price actionRBL Bank's stock price has shown notable activity recently, influenced by both technical and fundamental factors. Below is a detailed analysis:
## **Current Price Action**
- **Latest Price**: RBL Bank's shares rose by 4.86% on March 24, 2025, reaching ₹176.40, breaking out of a consolidation range of ₹150–170
- **Technical Indicators**: The stock's breakout is supported by robust trading volumes and a daily RSI above 60, indicating bullish momentum
## **Fundamental Analysis**
- **Valuation Metrics**:
- P/E Ratio: 10.28 (lower than the sector average of 19.47), indicating undervaluation
- P/B Ratio: 0.69, suggesting the stock is trading at a discount compared to its book value
- **Intrinsic Value**: Estimated at ₹267.23, reflecting significant upside potential from the current price
## **Recent Financial Performance**
- **Q3 FY25 Results**:
- Revenue grew by 16% YoY to ₹4,610 crore
- Net profit declined sharply by 80.7% YoY due to higher provisions for NPAs in microfinance and credit card portfolios.
- Gross NPA ratio improved marginally to 2.92%, while net NPA reduced to 0.53%, indicating mixed asset quality trends
## **Long-Term Outlook**
- Despite short-term challenges in profitability, RBL Bank's fundamentals remain strong, with healthy loan growth (13% YoY) and improving operational efficiency. Analysts suggest it may be suitable for long-term investment due to undervaluation and expected recovery in profitability metrics.
Investors should monitor RBL Bank's asset quality trends and earnings growth closely while considering its low valuation as an attractive entry point for medium to long-term gains.
